Gov Jaspert reiterates support for VI’s Financial Services
This is according to Governor of the Virgin Islands Augustus J. U. Jaspert aka ‘Gus’ in a statement today, May 8, 2018 on the recent vote by the United Kingdom’s House of Commons to mandate the Overseas Territories (OTs) to have public registers of beneficial ownership of offshore companies.
On May 1, 2018 the UK Parliament passed an amendment to the Sanctions and Anti-Money Laundering Bill, which introduces measures to tackle criminal activities, including money laundering across international finance. The amendment includes a requirement for the Overseas Territories to implement public registers of beneficial ownership by the end of 2020.
According to Governor Jaspert, public register of beneficial ownership is not a new issue and that concerns, focusing on a small number of people abusing international financial centres, have been discussed around the world in recent years.
He reminded that when the issue was last debated in the UK’s House of Lords, the amendment was successfully defeated after Lord Tariq M. Ahmad, the UK’s Minister for the Overseas Territories, set out the UK Government’s position on both the strength of regulation in the Overseas Territories, including the VI, and on the constitutional responsibility for Overseas Territory Governments to effectively regulate local financial services.
“This time, the UK Parliament decided to proceed with the new amendment. UK Ministers made clear that they do not want to legislate directly for the Overseas Territories. However, the UK Government had to listen to the strength of feeling and respect the will of the UK Parliament.”
'I support advancement of Territory'
Governor Jaspert added that the debate in the UK Parliament will continue as the Bill, including the new amendment, will go to the House of Lords next. “Whatever the outcome of this debate, the BVI should approach it with confidence.”
He said the VI has strong and effective regulation of its financial services industry, which contributes to global trade. “I know BVI shares the aim that the jurisdiction should never be a place for those wishing to hide criminal activities. BVI regulation and the industry have consistently shown that they can keep ahead of global trends.”
Further, Governor Jaspert said the VI faces a number of challenges and opportunities after the devastating events of last year, but it should be confident in its recovery.
“The Recovery and Development Agency Board is in place and the recovery has the continued backing and support of the United Kingdom, including the UK Prime Minister’s commitment of up to £300 million of loan guarantees to support access to finance.
“With clear vision, a plan for the future to grow and diversify the economy for the benefit of all, and the right recovery and support structures in place – the Virgin Islands’ can be confident in its future. As Governor, I will support the Government in advancing this vision and, as I have since taking up my role, support the advancement of the Territory and the people of these beautiful Virgin Islands.”
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10 Responses to “Gov Jaspert reiterates support for VI’s Financial Services”
His position is that of the sitting UK Government, his employer. Not surprising at all
If you were in 'intelligence' work, you do know who is putting this on VINO's website and that I am honest.
Moreover, the HOC vote should be a wake up call for the BVI; it should be seen as a challenging opportunity. Financial services, along with tourism, its the twin pillar of the economy. This economic twin pillar catapulted the BVI from a subsistence agricultural economy to a service- based economy. Though tiny with little to no resources, the BVI boasts of having one of highest standard of living and quality of life in the region; its per capita income is approx $42K; its GDP was approx $1B. However, the reality is that the VI was on a fragile economy perch, for if either of the pillars stumble the economy will tumble. It got way too comfortable, too cocky, with the financial services and tourism economic pillars. Furthermore, as the UK legislation demonstrates clearly, it is critical and vital that the economy must be diversified. Diversification may not be a sexy topic/issue; nonetheless, it is an important and urgent issue. It must move to the top on the bucket list.
The economic numbers lie because it does not look or feel like a wealthy part of the Caribbean around homes and infrastructure, nowhere near where it should be. So yeah the VI made money as a place but none of it was properly invested in the VI or it’s people. Where are the schools and teachers we deserve, the roads, telecoms, airport, diverse range of amenities? The public money was spent lining people’s pockets who did not have to deliver for us. Both parties did this generally.
Then we have public policies to destroy enterprise and make it difficult to hire and create business unless it is controlled by the main families. So how are we surprised at how difficult recovery is? Some of us have been here twenty or thirty years building and maintaining those economic pillars with no rights in the country or tenure. That is not sustainable as against our competitors. Some of us are Bell gets but get greedy on rent or shareholding relationships. Chasing business and jobs to other countries.
Our FSC has chased away whole industries and along with the longstanding labour and immigration issues, has chased other industries off before they arrived. Competitors lost fund administration and other financial services to onshore centres but we just watched or worse didn’t notice that fly by. It was there for the taking. Let’s wise up.